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You can try generating a ssh key with ssh-keygen on your client system, and place the .ssh/id_rsa.pub public key in .ssh/authorized_keys on the 192.168.1.10 system.
See How to harden an SSH server? for more info on this.

Add yourself to the fuse user group, if you haven't. You can use sshfs user@system instead of sudo there if that is set up correctly.

OKay got it...... just went through my brain for an analytic common sense analysis.. realised that i was generating ssh-keygen from my account, did it for root user too and bam it works!!!! thanks marking as answered
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sarveshladApr 29 '12 at 21:52